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Financial models for valuation of a company

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I need help. I don't know how to start this or how to build the excel spreadsheet. This assignment requires to build a financial model for valuation of a company. Start with using historical income statements and build a ten year forecast using the information. This probably sounds easier than it is. I would suggest that you start with the unit growth (compounded) and forecast the units first. From there, you have to calculate what you will charge per unit for general revenue and guess what you want to do with Management revenue. From here, you'll need to decide what expenses are fixed and what are variable and how the forecast should be calculated. Remember that in this case that the units are driving the forecast.

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Solution Summary

This solution presents a ten year financial forecast for a fictitious business.

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Hi,

Please see attached for a sample forecast and Excel setup to complete a ten year forecast. I have completed the first three years, as well built in some budgeting events in 2013, 2017 and 2019. I have included those impacts in bold red font for the impacted years.

First, I compared year year over year deltas in the historical data.

This provided me with a conservative, but data-based factor for unit volume ...

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